codeigniter Image lib can not be displayed because it contains error

Question

however my GD is installed and working correctly as i tested on local but when I uploaded to client server it showing error "The Image " cannot be displayed because it contains errors.

I access the image localhost/validate_image/show_image

My validate_image controller code

function show_image() {   
        $width = "200px";
        $height = "200px";
        $imageName = "HFPFinalLogoJpeg.jpg";
        $dir=realpath(MERCHANT_IMAGE);    
        //Below constants are already included in application/config/constants.php file  its here to just show you 

        $this->load->library('image_lib'); 
        $this->image_lib->clear();
        $config['image_library']    = 'gd2';
        $config['source_image']     = $dir."/".$imageName;
        $config['maintain_ratio']   = FALSE;
        $config['dynamic_output']   = TRUE;
        $config['width']            = $width;
        $config['height']           = $height;
        //print_r($config); die;
        $this->image_lib->initialize($config);
        echo $this->image_lib->resize();

    }

My show_image view code

<?php 
$image_properties = array(
'src' => base_url()."validate_image/show_image/220/280",
'alt' => "title Image",
'title' => 'title Image',
'width'=>135,
'height'=>135,
'border' => "0",
);
echo img($image_properties);
?>

My Server GD lib details are below

I tried and googled but with no solution are as follows. My PHP Version 5.4.35

Please Help me resolved this problem.